Motilal Oswal - MOSL: AUTOMOBILES-Retails momentum mixed for 2W, CV-PV healthy-Healthy wedding season demand

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Motilal Oswal

Jinesh Gandhi

MOSL: AUTOMOBILES-Retails momentum mixed for 2W, CV-PV healthy-Healthy wedding season demand

â€‹Automobiles:Retails momentum mixed for 2W, CV; PV healthy; Healthy wedding season demand partially negated by untimely rain

Our interaction with the leading automotive channel partners in India indicates ebbing retail sales momentum, particularly in 2Ws, due to the impact of untimely rain in key markets.
Demand momentum in the rural markets continues to be healthy. Untimely did hurt key markets like Maharashtra, but the impact is expected to be temporary.
2W demand remains mixed, as the momentum gained from the wedding season demand in the northern belt is partially negated by muted sales in Maharashtra and UP. HMCL outperformed in motorcycles, capitalizing on healthy wedding season demand in north.
MSIL continues to see better retails than competitors, with S-cross bookings of ~12k units. TTMT too is gaining momentum, led by its revamped product portfolio and huge success for the recently launched Nexon.
CV demand was not exciting. Discounts increased sequentially. Tippers sales were healthy.
We prefer 4Ws over 2Ws and CVs due to stronger volume growth and a stable competitive environment. Our top picks in autos are MSIL, Bajaj Auto, Tata Motors and Amara Raja.

30/11/2017 4 EN

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Motilal Oswal

Motilal Oswal Financial Services Ltd. is a reputed name in Financial Services and Online Trading with group companies providing services such as Private Wealth Management, Retail Broking and Distribution, Institutional Broking, Asset Management, Investment Banking, Private Equity, Commodity Broking, Currency Broking, Principal Strategies & Home Finance.

Motilal Oswal Securities is a group company of Motilal Oswal Financial Service Limited which started as a stock trading company and has blossomed into well diversified firm offering a range of financial products and services. Motilal Oswal has built a reputation as the source for best stock trading company and this has taken a wealth of experience, knowledge and expertise, constantly working in tandem, over the years.

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Analysts

Jinesh Gandhi

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MOSL: AUTOMOBILES-Retails momentum mixed for 2W, CV-PV healthy-Healthy wedding season demand

MOSL : HOME FIRST FINANCE COMPANY: Earnings in-line with sustained improvement in asset quality

MOSL : SHOPPERS STOP: Ticking the right boxes

MOSL : ERIS LIFESCIENCES: Enhanced efforts toward product launch-related activities

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